Tax abatements available for current, future SE homeowners

SOUTH EUCLID-- The entire city is now a community
reinvestment area, which can mean tax savings to those
rehabilitating homes or building new dwellings.

City Council unanimously passed legislation Monday that
will result in a 50-percent tax abatement for five years to
the owners of homes of no more than two units where at least
$2,500 is spent, and which increases the home's taxable
value.

Homes containing more than two units must have $5,000 spent
on improvements.

New homes will get the same tax break, as will remodeled
and newly built commercial and industrial facilities where
improvements total at least $5,000.

Finally, homes, commercial properties and industries where
new construction takes place at the site of a pre-existing
development, will get a tax break of 75 percent over five
years.

This suggestion came from Ward 4 Councilwoman Jane Goodman,
who believed it was wise to reward those who choose to
revitalize an existing property, rather than start anew in a
green field.

The changes met with favor by developers who were present
Monday at a council committee meeting held to discuss the
issue.

"I think you're making the right moves,"
said Norman Milstein, who with Armand Guggenheim is the
developer of Cutter's Creek, off Anderson Road.
"It's certainly a benefit for new construction.

"The first thing we're asked at Cutter's
Creek, and we get asked by doctors (who want to buy there),
is do we have abatement? Then they go to Cleveland Heights
or University Heights (where abatement is offered).

"There's nothing worse than being in a stagnant
community. You want to create something, and this is a great
way to do it."

Guggenheim told how he and Milstein have been in the
development business over five decades.

"We're seeing things (in the market) we haven't seen for 50 years," he said....

Tax abatements available for current, future SE homeowners

SOUTH EUCLID-- The entire city is now a community
reinvestment area, which can mean tax savings to those
rehabilitating homes or building new dwellings.

City Council unanimously passed legislation Monday that
will result in a 50-percent tax abatement for five years to
the owners of homes of no more than two units where at least
$2,500 is spent, and which increases the home's taxable
value.

Homes containing more than two units must have $5,000 spent
on improvements.

New homes will get the same tax break, as will remodeled
and newly built commercial and industrial facilities where
improvements total at least $5,000.

Finally, homes, commercial properties and industries where
new construction takes place at the site of a pre-existing
development, will get a tax break of 75 percent over five
years.

This suggestion came from Ward 4 Councilwoman Jane Goodman,
who believed it was wise to reward those who choose to
revitalize an existing property, rather than start anew in a
green field.

The changes met with favor by developers who were present
Monday at a council committee meeting held to discuss the
issue.

"I think you're making the right moves,"
said Norman Milstein, who with Armand Guggenheim is the
developer of Cutter's Creek, off Anderson Road.
"It's certainly a benefit for new construction.

"The first thing we're asked at Cutter's
Creek, and we get asked by doctors (who want to buy there),
is do we have abatement? Then they go to Cleveland Heights
or University Heights (where abatement is offered).

"There's nothing worse than being in a stagnant
community. You want to create something, and this is a great
way to do it."

Guggenheim told how he and Milstein have been in the
development business over five decades.

"We're seeing things (in the market) we haven't seen for 50 years," he said....